Shell M’sia holds media workshop on O&G industry

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WORKSHOP: The topics presented included an introduction to Shell Malaysia, HSSE (health, safety, security and the environment) and sustainbale development, an overview on the O&G business, the exploration and production cycle, and the downstream business from refinery to retail

KUCHING: Shell Malaysia held an exclusive workshop for the media yesterday in a bid to give them a better understanding of the oil and gas (O&G) industry.

The topics presented included an introduction to Shell Malaysia, HSSE (health, safety, security and the environment) and sustainbale development, an overview on the O&G business, the exploration and production cycle, and the downstream business from refinery to retail.

Presenter Mak Met, regional manager of learning and development, Shell Malaysia EP, highlighted that Shell Malaysia has an aim of conducting its business in the most responsible way without causing harm, or trying its best to minimise harm as possible to the society or individual where it runs its business.

“Hence, we use the slogan ‘Goal Zero’, meaning we don’t want to cause any major injuries to people as we do our business.

“In addition, we want to protect the environment to ensure that we don’t irresponsibly release any gas that is not conducive or cause harm to the environment. This is what we call ‘no leakage’,” he explained.

Touching on the challenging O&G fields in Malaysia, Sarawak Shell Bhd reservoir manager Abel Tan pointed out that factors contributing to this included high pressure, high temperature, high carbon dioxide, and high hydrogen sulfide and mercury content.

“I highlight this because nowadays we are talking about the high pressure and high temperature reservoirs, which are deeper. The shallower targets have been found already, so now people are going deeper into the reservoir.

“This means that the tools that we use will need to withstand higher temperature and pressure as well. These days, we have the technology to handle that,” he said.

The fact that the O&G fields are in deepwater and that it was a costly process were also contributing factors.

An example given was a field in Sabah which has been producing for more than 30 years, and yet Shell Malaysia was still drilling wells there. This was because every compartment needed many wells to produce from that field, which is challenging and expensive for the group.

Going into the downstream part of the seminar, Wan Ahmad Anis Wan Mohd Shukri, Sarawak district manager of Shell Timur Sdn Bhd, concluded that the retail sector in Malaysia is regulated with the Government setting the pump price.

He reiterated that the difference in the price between market rates and Government pump price is accomodated via sales tax or subsidy (APM formula).